On August 1, 20Y9, Brooke Kline established Western Realty. Brooke completed the following transactions during the month of August: a. Opened a business bank account with a deposit of $24,000 in exchange for common stock. b. Paid rent on office and equipment for the month, $3,700. c. Paid automobile expenses for month, $1,450, and miscellaneous expenses, $600. d. Purchased office supplies on account, $1,250. e. Earned sales commissions, receiving cash, $22,600. f. Paid creditor on account, $700. g. Paid office salaries, $3,300. h. Paid dividends, $3,900. i. Determined that the cost of supplies on hand was $350; therefore, the cost of supplies used was $900. Required: 1. Indicate the effect of each transaction and the balances after each transaction, using th

On August 1, 20Y9, Brooke Kline established Western Realty. Brooke completed the following transactions during the month of August:

a.Opened a business bank account with a deposit of $24,000 in exchange for common stock.b.Paid rent on office and equipment for the month, $3,700.c.Paid automobile expenses for month, $1,450, and miscellaneous expenses, $600.d.Purchased office supplies on account, $1,250.e.Earned sales commissions, receiving cash, $22,600.f.Paid creditor on account, $700.g.Paid office salaries, $3,300.h.Paid dividends, $3,900.i.Determined that the cost of supplies on hand was $350; therefore, the cost of supplies used was $900. Required:1.Indicate the effect of each transaction and the balances after each transaction, using the following tabular headings:Assets=Liabilities+Stockholders Equity Accounts Common Sales Salaries Rent Auto Supplies MiscellaneousCash+Supplies=Payable+Stock-Dividends+Commissions-Expense-Expense-Expense-Expense-Expense 2. a. Prepare an income statement for August. 2. b. Prepare a statement of stockholders equity for August. 2. c. Prepare a balance sheet as of August 31.

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Accounts, Labels and Amount Descriptions

Accounts Accounts payable Automobile expense Cash Common stock Dividends Miscellaneous expense Rent expense Retained earnings Salaries expense Sales commissions Supplies Supplies expense Labels August 31, 20Y9 Expenses For the Month Ended August 31, 20Y9 Amount Descriptions Balances, August 1, 20Y9 Balances, August 31, 20Y9 Issued common stock Net income Net loss Total assets Total expenses Total liabilities and stockholders equity Total stockholders equity

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Accounting Equation Grid